Content:
- A surge in radical governments, the hope of democracy
- Recasting insolvency resolution
A Surge In Radical Governments, The Hope of Democracy
Context : Global Legitimisation of Radical Groups
- Radical groups like the Taliban and Hay’at Tahrir Al-Sham (HTS) gain legitimacy once in power.
- International actors have shifted from treating such groups as “enemies of democracy” to engaging diplomatically after their ascension to power.
Relevance : GS 2(International Relations)
Practice Question : Critically analyze the implications of legitimizing radical governments for global stability and India’s regional security. (250 words)
Taliban Takeover (Afghanistan, 2021):
- After seizing power in August 2021, the Taliban received conditional global recognition.
- UNSC Resolution 2593 emphasized preventing Afghanistan from being a base for terrorism, with India’s significant role.
- However, promises of inclusivity and women’s rights were largely ignored.
HTS Takeover (Syria, 2024):
- Ahmed al-Jolani’s HTS, previously tied to al-Qaeda, toppled Bashar al-Assad.
- The U.S. removed al-Jolani from its bounty list, signaling political expediency.
Bangladesh Crisis (2024):
- Military-backed interim government under Muhammad Yunus replaced Sheikh Hasina’s elected government.
- Radical groups such as Jamaat-e-Islami, Ansarullah Bangla Team, and Hefazat-e-Islam exploited the unrest.
- Anti-India rhetoric and minority attacks pose national security concerns for India.
India’s Role and Challenges:
- India played a pivotal role in stabilizing Bangladesh post-2008 elections.
- Current challenges include countering radicalization while maintaining strong bilateral ties.
India’s Strategic Considerations
Regional Security:
- Islamic radicalization in Bangladesh could destabilize India’s eastern borders.
- Anti-India rhetoric by radicals risks fostering domestic unrest in India.
Diplomatic Engagement:
- India remains open to engaging with the interim government but must tread carefully to avoid legitimizing radical groups.
Legacy of Democracy:
- Democracy’s successes in Bangladesh since 2008 indicate public resistance to radicalism.
- Sustaining democratic norms aligns with India’s long-term regional goals.
Broader Implications
Geopolitical Trends:
- The global shift toward legitimizing radical groups once they capture power undermines democratic norms.
- A fragmented international order focuses on short-term stability rather than upholding accountability.
Religiophobia and Polarization:
- Rising religiophobia highlights global intolerance trends.
- Viewing radicalization purely through religious lenses risks deepening societal divides.
Recasting Insolvency Resolution
Insolvency and Bankruptcy Code (IBC):
- Enacted in 2016 to resolve insolvencies in a time-bound manner and improve ease of doing business.
- Aimed at addressing bad loans and bringing defaulters to book.
Relevance : GS 2(Governance), GS 3(Economy)
Practice Question:Critically analyze the challenges faced by India’s insolvency resolution framework under the IBC, 2016, and suggest measures for its effective implementation.(250 Words)
Current Challenges:
- Institutional Burden on Tribunals:
- National Company Law Tribunal (NCLT) and National Company Law Appellate Tribunal (NCLAT) handle cases under both the IBC and Companies Act.
- Lack of resources and outdated structure have created bottlenecks.
- Delays in Resolution:
- Average time for insolvency resolution rose to 716 days in FY2023-24 (target: 330 days).
- Judicial discretion in extending timelines has undermined the IBC’s effectiveness.
- Capacity Constraints:
- Inadequate domain knowledge among members to handle complex financial and legal cases.
- Absence of a mechanism for urgent listing of cases.
- Registry staff wield significant discretionary power over case listings.
- Defiance of Supreme Court Orders:
- Increasing disregard for judicial directives threatens institutional integrity.
Procedural Gaps:
- Mandatory hearings for all applications, even when unnecessary, contribute to delays.
- Limited adoption of alternative dispute resolution methods further strains the system.
Recommendations for Reform:
Enhance Institutional Capacity:
- Introduce specialised benches for different case types, e.g., insolvency, mergers, and amalgamations.
- Appoint members with relevant domain expertise alongside judicial experience.
Streamline Procedures:
- Reduce mandatory hearings for routine applications.
- Adopt procedural innovations such as pre-litigation mediation for insolvency cases.
Infrastructure and Staffing Improvements:
- Ensure adequate courtrooms and permanent support staff for tribunals.
- Invest in training programs for tribunal members and registry staff.
Strengthen Accountability:
- Implement mechanisms to monitor adherence to Supreme Court orders and prescribed timelines.
- Reduce discretionary powers of registry staff to improve transparency in case management.
Broader Perspective on Insolvency Resolution:
- Move beyond debt recovery to focus on economic rejuvenation and attracting foreign investment.
- Encourage out-of-court settlements to reduce the burden on tribunals.
The Jet Airways Case: Key Lessons
- Highlighted institutional inefficiencies and procedural bottlenecks in insolvency resolution.
- Reinforced the need for adherence to strict timelines and domain expertise in handling cases.